A close today under the following levels in the Futures can lead to another swing down in prices:

1259 S&P, 2185 NASD,777.20 (also the 200 day) Russell,922.80 Midcap 400 ( with 200 day app 913).

The bigger levels coming down in the Spu are 1253…1225-30,Nasd..2151….2059-65,Russell…76940 represents last qtr’s low…there will be stops below and a close lower on 6/30/11 puts in an outside reversal downside pattern. Midcap is holding up the best, needing a close below 89840 6/30/11 to complete the lower reversal pattern.

It’s a Risk Off Risk On game of chicken between now and months end. Pick your spots wisely. The pervasive question now becomes ” Can the Equity Indices save their Qtrly chart patterns?”

This a.m. it would pay to keep an eye on last nights highs in the 30 Yr.: sustained price action above would lead to more weakness in the equities. SPU/BONDS (Long S&P 500 Futures vs. Short 30 Yr Bond Futures)

OIL…89.70 ish is the 200 day…89 would be a low risk level the first time down to try a long.

MODEL TRADING PORTFOLIO…CURRENT HOLDINGS

LONG TERM HORIZON….

Long GLD,SLV, token position

SHORT/MEDIUM TERM HORIZON

Long SDS ?…21.85 Stop.

We have paid for all these trades.